Bitcoin’s transaction fee surges to a YTD high of $2.4 

• BTC prices fluctuated on daily charts and hit a maximum of $ 107,000.
• Bitcoin transaction fee increased to YTD maximum $ 2.4.

In the last day, Bitcoins [BTC] Transaction fees increased by 42% to achieve an annual high. The average chain fee has increased for reaching $ 2.4.

This meant an increase in $ 1 from the beginning of May 2025, reflecting the strong demand for bitcoin transactions.

Usually the increase in transactions usually indicates network overload and high demand for block space, which often occurs during the period of intensive market activity.

Transaction fees are directly influenced by the competition for block space, while miners prefer transactions that offer higher fees.

When fees for bitcoin transactions grow sharply, it suggests that multiple users, individuals and robots, try to quickly process their transactions and push higher fees.

Interestingly, despite the increase in fees, the volume of transactions has decreased to $ 378,000. This disconnection suggests that large entities strongly compete with the verification of their transactions, although the total transaction activity decreases.

The increase suggests slowing retail activities, while institutions and whales perform priority transfers, indicating ongoing accumulation.

This accumulation is further supported by a sharp increase in the dislicable offer of bitcoins that have achieved a new maximum.

The metric also emphasizes that long -term bitcoins remain intact, indicating that long -term holders maintain their assets rather than sell.

The offer held by long-term holders increased from 14.3 million BTC to 15.8 million BTC, which meant an increase of 1.5 million BTC-sile stamps of accumulation in this group.

Given this increased activity, it is clear that the growing demand for bitcoins among large players has contributed to the increase in transaction fees.

As the accumulation intensifies, transaction fees are still rising, reflecting the growing competition to secure the block space.

What does this mean for BTC?

As mentioned above, transaction fees increased when whales and institutions entered the market to accumulate bitcoins.

This demand for BTC also had a positive impact on BTC price actions. As the fees grew, Bitcoin also violated $ 105,000 to hit $ 107,115 before the pullback.

Since these levels, Bitcoin has withdrawn to $ 102,853, which signaled the market cooldown. Therefore, from now on the market has cooled, with the demand of large holders who have fallen from the previously witness levels, while retail activities also remain down.

These conditions place bitcoins for further consolidation, as witnessed when the LTH requirement absorbs the indifference of the retailer.

So if they have these conditions, we could see that BTC continues to trade between $ 100,000 and $ 105,000. For permanent escape, retail activity must be recovered, thus supporting the bull holders of large holders.

The displacement between retailers and speculators saw another jump over $ 105,000 to $ 108,000.